By Matthew Collin
BBC News, Tbilisi

"Don't destroy the building," pleaded a placard held by a young demonstrator outside a late 19th Century block in the centre of the Georgian capital, Tbilisi.

But it was already too late. As the small group of conservationists held their protest, construction workers were standing nearby, preparing to start knocking it down.

The historic building was cleared for demolition after the authorities deemed that it was too damaged to be renovated.

It will be replaced by a modern office block.

	Tbilisi's Old Town is home to many beautiful, but crumbling, buildings rich in iron and woodwork. BBC

One of the protesters said this showed that a "battle for the soul of the city" was under way.

The dispute pits the conservationists, who believe the architectural heritage of Tbilisi's old town district is under threat, against profit-seeking developers and the city council, which lacks the finances needed to restore the Georgian capital's magnificent but crumbling architecture.

Enchanting jumble
"Old Tbilisi has its own unique value," said protester Gvantsa Chikovani.

"We shouldn't just destroy everything and build fashionable new offices or apartments just to make money."

Tbilisi's enchanting old town is a jumble of crooked streets, courtyards and overhanging balconies decorated with intricate wooden latticework.

Its architecture is an eclectic mixture of European and Middle Eastern influences, and includes some fine examples of Art Nouveau and neo-classicism.

But because so many buildings have fallen into disrepair after a long period of economic decline - and widespread damage caused by a powerful earthquake in 2002 - the authorities in this impoverished former Soviet republic say it would be impossible to find the money to save them all.

Architectural treasures
Tbilisi's Deputy Mayor Mamuka Akhvlediani told the BBC he also believes that far too many buildings in the city have been classified as historical monuments.

Mr Akhvlediani said he wants the number to be reduced from 1,700 to 500, and suggested that some will inevitably be demolished.

"Very many of these buildings are beyond repair," he explains. "That's why the number of historical monuments should be restricted."

The conservationists are worried that this means some architectural treasures will be supplanted by glass-fronted business centres and upmarket apartment complexes.

Marina Khatiashvili, a Georgian art historian who serves on the city planning commission, says there are often bitter rows about which buildings should be saved.

"We don't dream that we can preserve everything, but we want to do as much as we can," she says.

"The authorities are not against preservation, but they don't have money."

However, some Tbilisi residents actually want their dilapidated buildings to be knocked down by developers, in return for new apartments or cash payments.

"Many people are really very poor, and they see it as their only way to get money," explains Ms Khatiashvili.

"For the authorities it's also convenient, because then they won't have problems with these people who are living in very bad conditions."

Some residents refuse to do repairs because they are waiting for investors to buy them out, while others have disfigured attractive courtyards and balconies by adding shoddily-built extensions or concreting over traditional woodwork to create more living space.

The city authorities say they want to transform Tbilisi into a prosperous, European-style capital, while retaining as much of its architectural charm as possible.

Bending the rules
Deputy Mayor Akhvlediani says the council is spending significant funds on renovation work, such as a high-profile project to restore the faded grandeur of Tbilisi's main thoroughfare, Rustaveli Avenue.

	Most residents do not have the money to renovate their homes. BBC

He says the authorities have been working with international architectural experts to prepare a new plan for developing the city, but he argues that Tbilisi can only be regenerated successfully with the help of private investors.

The deputy mayor insists that developers are subject to strict guidelines about what they can build, and that they have to respect the "Tbilisian style of architecture" in the old town.

But Maia Mania, a professor of architectural history, claims that the rich and powerful can sometimes circumvent the rules.

"You can put up whatever you want and destroy whatever you want if you have good backing," she told the BBC.

The Georgian capital is currently going through a minor construction boom, but the conservationists fear that as the authorities attempt to create a wealthier future by bringing in much-needed investment, they are allowing developers to erase part of the past forever.

"Tbilisi's heritage is not just our heritage, it is world heritage," argues the art historian ms Khatiashvili.

"If this process continues, Tbilisi will become just another uninteresting modern city."

IN TBILISI, IT’S BOOM TIME FOR BUILDING

Hotel deals have grabbed the headlines. Aside from the $100 million Radisson Hotel project which will open in 2008 in the shell of the Iveria, an ex-Intourist Hotel that doubled for years as a refugee shelter, work has also started on a $200 million Park Hyatt project, due for completion in 2009. The Kempinsky and Intercontinental chains have also announced plans for hotels, and the central government has reportedly held talks with Hilton Hotels as well.

The government puts it down to growing international interest in Georgia given its rapid pace of reform and steady rate of economic growth. A recent International Monetary Fund mission estimated Georgia’s 2006 growth at well over 9 percent and estimated that 2007 could see minimum growth rates of 10 percent.

Within the city government, officials say that they see no end in sight for the Georgian capital’s construction boom, and concede that the building frenzy could well change the city’s look. Outdated zoning laws mean that little legal basis exists for managing the building frenzy, though city government representatives contend that they are in fact controlling the process.

Papuna Dzidziguri, a city urban planning expert who is working on Tbilisi’s general construction development plan, believes that the concentration of construction work in the city center is likely to cause serious problems in the near future.

"The center is not capable of handling the burden of too much construction," Dzidziguri said in an April interview with EurasiaNet. Traffic congestion and changes to the capital’s historical buildings are among the concerns, he said. "It’s now very important to find a new space for all the construction that is expected in Tbilisi. Otherwise, the new buildings will completely change the unique look of the old central parts of the city."

Zoning laws, introduced in 1970, expired in 2000, Dzidziguri said, although the city continues to use them. Work is continuing on new regulations, he said, citing one that puts a three-storey cap on new buildings in certain parts of old Tbilisi.

An overall construction development plan for the city is expected to come into force by the end of 2007. But how to balance investor demand with preservation concerns is a topic no official has mastered yet.

Alexander Jobava, head of city planning for Tbilisi, states that the municipal government would like to encourage investors to build new apartment buildings 10 to 15 kilometers outside of town rather than in the city center, where space is relatively tight. Achieving this goal will be difficult, though, he added, in the face of "serious demand" for apartments near the center.

According to economic development ministry officials, Arab businessmen plan to invest as much as $200 million in construction of elite residential complexes in Tabakhmela and Tsavkisi, two areas located close to the Tbilisi center. Next to the Arab project, Israeli investors plan to spend some $100 million on the construction of a dozen luxury town houses, said a source in the Tbilisi city government, who asked not to be named. Another significant investment is expected by Korean investors on Elia Mountain, a less populated area within walking distance of Tbilisi’s historic center, the source said.

The city government states that there are some 30 construction companies now operating in Tbilisi, a city of about some 1.5 million people.

"The number of companies continues to grow as construction is a very profitable business in Georgia," city urban planner Dzidziguri said. "There are certain companies that change their profile and switch to construction."

According to the Georgian state department of statistics, the country’s construction sector brought in 1.61 billion lari (about $961.481 million) in turnover in 2006, while in 2001 it was only 243 million lari (about $145 million).

Meanwhile, prices for the new apartment buildings built by these companies continue to soar. Prices for under-construction apartments range from $400 per square meter for an apartment in the outskirts to $2000 per square meter for an apartment in the center of town. By comparison, Georgia’s per capita gross national income in 2005 was estimated at $1,320, according to the World Bank.

One former architect believes that the prices reflect the fact that demand is limited to the richest Georgians, who have far fewer restraints on their budgets than most ordinary citizens.

"Georgian society is comprised of two major groups: very rich people and very poor people. The construction market is oriented toward those who are rich, and who are paying [for apartments] today," said Zviad Zarandia, an independent expert.

The city government has presented the work done on updating Tbilisi – including a controversial plan to tax residents of historic districts to fund infrastructure reconstruction projects – as intended to inspire Tbilisi’s residents to take pride in their city once again.

While pride is taken in some of the parks for children, street lighting, road improvements and painting, not all residents, though, are upbeat about the transformations.

Mariam Papunashvili, a resident of one Tbilisi district where large-scale construction is going on, claims that vibrations from heavy trucks passing on the road outside her house all day have undermined her building’s structure. The district’s new buildings are surrounded by houses badly damaged from a 2002 earthquake. Homeowners have given their land to builders in exchange for new apartments.

"I was told that they will not complete these buildings under construction until 2009. I will simply lose my house by then," Papunashvili worried.

One woman in the central neighborhood of Mtatsminda takes a different approach.

"They can build all they want to," she said, pointing to the skeleton of a hotel-apartment complex wedged between a church and a hotel on a ridge overlooking Tbilisi’s downtown. "But they need to understand that what goes up in this town can most definitely come down."

Editor’s Note: Diana Petriashvili is a freelance business and political reporter in Tbilisi. Alexander Klimchuk is a freelance photographer also based in Tbilisi. Elizabeth Owen, EurasiaNet’s Caucasus News Editor in Tbilisi, added reporting to this story.

Please direct media inquiries to:
GHF Press press@globalheritagefund.org or (650) 325 7520